Stakeholders’ Perception of the Severity of the Causes of Disputes in the Nigerian Construction Industry
Chapter One
AIM
The aim of this research is to identify the severity of the factors that causes disputes.
OBJECTIVES
Identify the causes and effects of disputes in construction projects
Identify ways by which the effects of disputes could be controlled
With the use of the severity index, seek the stakeholders’ perception on the causes of disputes
Prioritize the various causes of disputes on how much it affect construction
CHAPTER TWO
LITERATURE REVIEW
Concept of Dispute in the Construction Industry
Cheung and Pang (2010) defined construction dispute as the incompatibility interest, needs or goals. Kehakale and Funtase (2015) defined dispute as the assertion of a claim by one party and repudiation thereof by another. Kehakale and Funtase (2015) further asserted that a claim can neither be called a claim without repudiation, nor can it be referred to as a pair of claim and counter claim. Chen et al.
that all social structures have inherent conflicts within them that can yield positive performance. In the construction industry, disputes become inevitable due to the complex, multidisciplinary relationships which exist among different stakeholders, and also due to the lengthy processes involved from design to construction phases of projects (Nwakor et al., 2017). The construction industry world over is a complex and competitive environment in which participants have different views, talents and levels of knowledge of the construction process work together (Owenaze, 2016). Therefore, in this complex environment, participants from various professions each has its own goals and each expects to make the most of its own benefits in the construction industry, since differences in perceptions among the participants of the projects, conflicts are inevitable. (Owenaze, 2016). If conflicts are not well managed; they quickly run into disputes (Khekale et al., 2013). Claim is another source of dispute in the construction industry. According to Khekale and Futane (2015), during the execution of a project, several issues arise that cannot be resolved among project participants. Such issues typically involve the contractor requesting for either time extension or reimbursement of an additional cost, or sometimes both. Such requests by the contractor are called
the contractor and grants him an extension of time or reimbursement of additional cost, or both, the issue is sorted out. However, if the client does not agree to the claim put out by the contractor and there are differences in the interpretations, the issue takes the form of dispute.
Types of Disputes
Dispute may be considered in three levels namely; intrapersonal dispute, interpersonal dispute and intra-group dispute (Opata et al., 2015). Intrapersonal dispute is the dispute that takes place within the individual, interpersonal dispute is the dispute experienced between individuals in the same group or unit for example coworkers, roommates, unit members and etc. Such disputes exist whenever people interact or come together to accomplish a common goal or objective. Intra-group dispute is the conflict between groups in the same organisation, team or command. The interpersonal and intragroup disputes can further be categorized into three types: the relationship, task and process dispute (Carmen et al., 2013).
CHAPTER THREE
RESEARCH METHODOLOGY
INTRODUCTION
In this chapter, we described the research procedure for this study. A research methodology is a research process adopted or employed to systematically and scientifically present the results of a study to the research audience viz. a vis, the study beneficiaries.
RESEARCH DESIGN
Research designs are perceived to be an overall strategy adopted by the researcher whereby different components of the study are integrated in a logical manner to effectively address a research problem. In this study, the researcher employed the survey research design. This is due to the nature of the study whereby the opinion and views of people are sampled. According to Singleton & Straits, (2009), Survey research can use quantitative research strategies (e.g., using questionnaires with numerically rated items), qualitative research strategies (e.g., using open-ended questions), or both strategies (i.e., mixed methods). As it is often used to describe and explore human behaviour, surveys are therefore frequently used in social and psychological research.
POPULATION OF THE STUDY
According to Udoyen (2019), a study population is a group of elements or individuals as the case may be, who share similar characteristics. These similar features can include location, gender, age, sex or specific interest. The emphasis on study population is that it constitute of individuals or elements that are homogeneous in description.
This study was carried out to examine stakeholders’ perception of the severity of the causes of disputes in the nigerian construction industry. Selected stakeholders which includes clients, consultants and contractors in Ijebu ode, Ogun State form the population of the study.
CHAPTER FOUR
DATA PRESENTATION AND ANALYSIS
This chapter presents the analysis of data derived through the questionnaire and key informant interview administered on the respondents in the study area. The analysis and interpretation were derived from the findings of the study. The data analysis depicts the simple frequency and percentage of the respondents as well as interpretation of the information gathered. A total of Ninty-five (95) questionnaires were administered to respondents of which 80 were returned. The analysis of this study is based on the number returned.
CHAPTER FIVE
CONCLUSION AND RECOMMENDATIONS
The complex nature and multi-dimensional approach of project delivery have posed a lot of challenges to effective performance of construction projects. Hardly can a project commence from inception to completion without experiencing change at a particular stage of the project. The study investigated the causes and effects of Disputes on construction projects in the South-Western Region of Nigeria. Forty six major causes of Disputes in construction projects were identified from literature and pilot survey of 10 key stakeholders involving in project delivery. These factors of Disputes were further categorized into four major groups. Based on the findings of the study, it was concluded that the five major causes of Disputes are change of plans or scope of work, errors and omissions in design, change in specifications by client, client`s financial difficulties, and impediment in prompt decision making process. The study also concluded that the five major effects of Disputes on construction projects include increase in construction cost, delay completion schedule, demolition and re-work, dispute among consultants, and work on hold. There is agreement among the stakeholders of the causes and effects of Disputes in construction projects executed in the South-Western Region of Nigeria. The fact remains that Dispute is part of project but can be minimized if adequate measures are taken during planning and design stages. The design team should therefore focus on the key decisions that are fundamental to the realization of the set goals and be effectively communicated as a key to minimize Dispute. The study also recommends that complete documentation of projects should be ready, verified and approved before award of contract.
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